Question

Problem 7-3A receipts journal (perpetual The cash receipts journal shown below contains five entries. All five entries are for legiti mentory mate cash receipt transactions, but the journal contains some errors in recording the transactions. In fact, only one entry is correct, and each of the other four entries contains Corrected cash receipts one error. Total debit to Cash, $83,000 423 Chapter 7 Accounting Information Systems

Answer 1

	1	Corrected Journal Entry
			Debit	Credit
	4-Jan	Cash	4200
		Sales revenue		4200
	7-Jan	Cash	6000
		Sales Discounts	220
		To Accounts Receivable		6220
	13-Jan	Cash	57400
		To Note receivable		53900
		To Interest revenue		3500
	20-Jan	Cash	4620
		To Sales Revenue		4620
	30-Jan	Cash	10780
		To Accounts Receivable		10780
	Cash Receipts Journal
		Debits		Credits					Cost of Goods Sold Dr
	Date	Cash	Sales Discounts	Accounts receivable	Sales revenue	Other Accounts			Inventory Cr
						Account Title	Post ref	Amount
	4-Jan	4200			4200				2030
	7-Jan	6000	220	6220
	13-Jan	57400				Note Receivable	13	53900
						Interest revenue	45	3500
	20-Jan	4620			4620				2100
	30-Jan	10780		10780
	31-Jan	83000	220	17000	8820	Totals		57400	4130